Eu emission trading system

By Susanna Twidale LONDON (Reuters) - Analysts have increased their forecasts for prices in Europe's carbon market to 2021 as supply cuts begin to bite, but warned that short-term prices will be volatile due to uncertainty about Britain's departure from the European Union. EU Allowances (EUAs) are expected to average 27.00 euros/tonne in 2019 and 32.83 euros/tonne in 2020, according to a survey of seven analysts polled by Reuters. <COMMODITYPOLL54> The forecasts were up 17.3 percent and 21.8 percent, respectively, from prices given in October, when the projections were for 23.01 euros in 2019 and 26.96 euros in 2020.[L8N1WJ1FY] Analysts increased their forecasts for 2021 to an average of 27.26 euros/tonne, up 4.4 percent. The European Emission Trading System (ETS) charges power plants and factories for every tonne of carbon dioxide they emit. Prices trebled last year, with utilities increasing hedging ahead of supply cuts coming into effect from 2019 and as more speculative … [Read more...] about Analysts raise EU carbon price forecasts, warn of short-term Brexit jitters

News / UK and world by Press Association December 19, 2018, 12:34 pm FacebookTwitterLinkedInWhatsAppEmail Send us a story Sign up to our Daily newsletter The European Commission has triggered an action plan to protect EU citizens and businesses from “major disruption” if the UK crashes out without a deal on March 29. With just 100 days to go the scheduled date of Brexit, and the UK Parliament apparently far from ratifying Theresa May’s Withdrawal Agreement, the commission said it was “essential and urgent” to act. Plans cover 14 areas most likely to be affected, ranging from financial services to aviation, customs and carbon emissions trading, and are designed to “protect the vital interests of the EU”. The move came a day after the Cabinet agreed to implement in full the UK’s own preparations for a possible no-deal Brexit. In a statement issued in Brussels, the commission stressed that the ratification of the … [Read more...] about EU activates preparations for no-deal Brexit

By Susanna TwidaleLONDON (Reuters) - Britain is likely to leave the European Union's Emissions Trading System (ETS) after Brexit and set up its own equivalent system, UK government documents published late Wednesday show.gi That would mean Britain sticking to its international obligations to cut carbon emissions and would avoid UK firms gaining a competitive advantage, but could hit the price of EU carbon permits as Britain is currently such a big buyer. London and Brussels agreed on Wednesday a draft deal over the terms of Britain leaving the bloc on March 29. That included a transitional period until Dec. 31, 2020, meaning Britain would likely remain in the ETS until then. The documents showed Britain would, after Brexit, continue to take the necessary measures to meet its commitments under the international Paris Climate Agreement.These include implementing a system of carbon pricing at least as effective as that currently in place under EU law, “establishing a scheme for … [Read more...] about UK signals plan to leave EU emissions trading scheme after Brexit

By Susanna Twidale LONDON (Reuters) - Analysts have raised their forecasts for carbon prices in the EU Emission Trading System (ETS) to 2020 after a bullish start to the year and on expectations that plans to reform the market will significantly curb oversupply. Analysts expect EU Allowances (EUAs) to average 18.59 euros/tonne in 2019 and 20.76 euros/tonne in 2020, according to the survey of eight analysts by Reuters published on Monday. <COMMODITYPOLL54> The forecasts were up 34 percent and 13 percent, respectively, from prices given in April, when the forecasts were for 13.86 euros for 2019 and 18.36 euros for 2020. Analysts also for the first time gave forecasts for 2021 which averaged 21.88 euro/tonne, almost 30 percent higher than current trading levels for the benchmark European carbon contract. <CFI2Zc1> The European Union's Emissions Trading System (ETS) charges power plants and factories for every tonne of carbon dioxide (CO2) they emit. The ETS has suffered … [Read more...] about Analysts raise EU carbon price forecasts as market reforms begin to bite

By Julia Fioretti BRUSSELS (Reuters) – European countries are pushing back against any weakening of the rules underpinning a landmark global agreement to cap airline emissions at 2020 levels, especially those related to the types of aviation biofuels that can be used. France, Norway, Finland, Belgium, Austria and the Netherlands have written to the U.N. aviation agency, which brokered the 2016 deal, to say they would have to reconsider their support should the compromise be weakened. This related particularly to criteria for the sustainability of alternative fuels and the carbon credits used to offset CO2 emissions, according to documents seen by Reuters. Countries at the International Civil Aviation Organisation (ICAO) are seeking to agree on rules that will govern how the overall deal, known as the Carbon Offset and Reduction Scheme for International Aviation (CORSIA), will be implemented. They meet next week to try to find a compromise. “If some countries were to call … [Read more...] about EU pushes back against weakening of aviation emissions deal